SC -proposals on bankruptcy reforms will be implemented: officials

Copyright © HT Digital Streams Limit all rights reserved. The proposals of the Apex Court cover a number of areas in the bankruptcy framework to be implemented by the Ibbi. Summary The Board of Insolvency and Bankruptcy of India implements proposals from the Supreme Court for bankruptcy reforms, focusing on the protection of home buyers and improving the property sector. Revisions to regulations are underway. New -Delhi: The Board of Insolvency and Bankruptcy of India (IBBI) is working on the proposals made in a recent case by the Supreme Court for improving the bankruptcy ecosystem, chairman Ravi Mital said on Wednesday. Mital also said during the ninth Ibbi annual event that the regulator is currently revising its regulations after an intense review. The proposals of the peak court cover a number of areas in the bankruptcy framework that must be implemented by the IBBI, the Ministry of Corporate Affairs, the Ministry of Housing and Urban Development, and the Property Regulatory and Development Authorities (RERAs). The proposals of the Peak Court came on September 12 in the case of Mansi Brar Fernandes vs. Shubha Sharma, in which the court ruled that the right to shelter is a fundamental right in terms of section 21. The Ministry of Corporate Affairs, Deepti Gaur Mukerjee, told Mint on the sidelines that the ministry was also working on it. Mint reported on September 24 that the government and Ibbi, in light of the Supreme Court proposals, were working on reforms to protect genuine home buyers and restore the credibility in the property sector. The proposals of the Apex Court include early registration of property in the name of a buyer to 20%, project-specific insolvency resolution, so that only upset projects-not the entire developer groups go not in bankruptcy, a stronger coordination between IBBI and state regulatory authorities and institutional reforms to ensure that leading projects are revived. “The SC recently gave two statements related to real estate. We are very serious about it and have started working on the directions given by the SC. Over the next two to three months I hope we have to implement the proposals,” Mital said at the event. Mukerjee, Ministry of Corporate Affairs, who also spoke during the event, assured that any additional proposals that stakeholders may have for further amendments to IBC will be shared with Parliament. The Lok Sabha Speaker has appointed Baijayant Panda, a member of parliament from Bharatiya Janata Party, as chairman of the Select Committee for the Insolvency and Bankruptcy Code (Amendment Bill), 2025, which the government in the parliamentary session of parliament in the Monsoon. The selected committee is expected to deliver its report during the Winter Session of Parliament for the recording of the passage bill. Mital also explained that Ibbi has so far made more than 125 amendments to its regulations, after extensive consultations with all stakeholders. “We do an intensive overview of our regulations every few years. We made an intense review of our regulations in 2024 and implemented the recommendations of the committee. We did the same again. We received about 125 suggestions. Another committee they checked, recommended what should be done, and we said in the next three to four months,” Mital said. He also said the regulator is following an intensive consultative mechanism for setting up regulations. Mukerjee said insolvency professional and values ​​should be made future ready for future, as these are important pillars of the bankruptcy solution ecosystem. The secretary emphasized the need to have more robust reports of professionals about the improper transactions carried out by the management of defaulting companies, known as’ preference, undervalued, fraudulent and extortional (PUFE) transactions. Debt solutions hired by creditors are investigating such transactions and moving tribunals for action against the offenders. Catch all the business news, market news, news reports and latest news updates on Live Mint. Download the Mint News app to get daily market updates. More Topics #Real Estate Sector Read Next Story